Episode 174: Jacksonville Florida Turn Key Rental Properties with Gregg Cohen

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Gregg & I Discuss: Why Invest in Jacksonville, Florida Real Estate Turn Key Rental Properties Offer Easy Scale Build to Rent-Brand New Assets Why a “Focused Approach” Beats a “New Markets Approach”

 

Investing in Jacksonville, Florida Turn Key Rental Properties-Podcast Episode Highlights

What are Turn Key Rental Properties? Why Should I Invest?

Gregg Cohen, founder of JWB Real Estate, joins us on the show today to discuss turn key investment properties. Real Estate investors in the olden days were limited to investing in their local market-where they could physically manage the tenants, repairs, and any other issues that arise from owning property long term.

In today's world, with the internet and property managers like JWB who offer fully renovated houses with tenants in place, out of state, or even out of the country owners can enjoy cash flow in any real estate market. With so many markets available, let's talk about why I like Jacksonville, Florida, and the reason I sought to invite Gregg onto the show.

How to Scale a Real Estate Investment Portfolio:

My main business is buying & selling houses as quickly as I can. Sometimes completing renovations, sometimes selling nearly as-is, with only minor cosmetics done after we buy the property. Even though I close close to 300 deals per year, when it comes to passive income, I prefer buying turnkey investment properties. I also have no issue with long distance ownership.

The bottom line is that I can scale quickly when turnkey companies are placing tenants and managing the details for me. The extent of my involvement is the heavy lifting on the front end to actually close the purchase: the loan application, signing documents, and providing the 20% down payment.

Why Invest in the Jacksonville, Florida Real Estate Market?

The Jacksonville, Florida real estate market is attractive to me first for location. There are jobs and population from all over the U.S. migrating to Florida, and Jacksonville's pricing hasn't gotten detached from wages. Normally I prefer market's with 5 Million people or more living in the metro area, but Jacksonville has about 1.5 million. Even though it's smaller than I'd normally prefer, Jacksonville is among the fastest growing large cities in the US.

Why Does the Age of a Home Impacts the Value and Maintenance Cost?

On this episode, Gregg and I also discuss his brand new construction homes which are built to rent. Turn key rental property investing normally focuses on existing houses: buy a house, renovate a house, then rent to a tenant, before selling the house with tenant to an investor like me. JWB actually began buying lots and building brand new homes for the same purpose: to provide investors with a brand new turnkey rental investment. One note-I have since attempted buying the brand new offering only to find out that they are in very short supply. Somewhat disappointed...

Anytime I consider buying a turnkey rental property, the biggest variable, after location, which affects price is the current condition. I love the idea of a new home-since the entire house is new. That's not usually an option, so I evaluate the home based on it's current condition. Unless you're an expert in construction, the best bet is usually buying recently renovated turnkey real estate investments from the property management company who actually completed the renovation. You still need to to due diligence on the company, the house, & the market before you close the deal.

Many of the houses I've bought "turn key" were simply occupied rentals bought from mom & pop landlords. In those instances, I expect a risky tenant, many repair issues, and a significantly below market price to account for the risk. I understand that long term, my maintenance costs will be very high-when compared to a turnkey investment property purchased through a full service turnkey rental property provider, such as JWB real estate. Please check out the full episode & come up with your own conclusions

 

Relevant Episodes: (There are 174 Content Packed Interviews in Total) Investing in Real Estate Using an IRA with Jason DeBono https://youtu.be/AnLjrtUovCI Flipping Land Remotely for HUGE Profits with Jack Bosch https://youtu.be/XQdSItlbC-Y Lead Conversion System for Direct to Seller RE Investors with Dan Schwartz https://youtu.be/e-gpBfN5SU8

 

Resources Mentioned in this Episode:

https://JWBRealEstateCapital.com

 

 

Check Out the Full Archive of The R.E.I. Diamonds Show: 

https://REIDiamonds.com/podcast/

For Access to Real Estate Deals You Can Buy & Sell for Profit:

https://AccessOffMarketDeals.com/podcast/

 

View the Episode Description & Transcript Here:

https://reidiamonds.com/jacksonville-florida-turn-key-rental-properties-with-gregg-cohen/